ZAP, Advanced Battery Technologies, Inc. Join Forces to Commercialize Nanotech Batteries for Electric Cars

Joint Office Opens in Beijing to Focus on Nanotechnology for Advanced Electric Car Batteries

BEIJING, Aug. 2, 2007 -- Advanced nanotech batteries are becoming a driving force in making electric cars that go farther and faster between charges, up to five times farther than today's conventional batteries, and China may play a role in bringing this new technology to market.

Electric car pioneer ZAP and lithium-polymer and nanotech battery developer Advanced Battery Technologies, Inc. today announced the opening of a joint development office in Beijing to expand their research, manufacturing and marketing of advanced batteries for electric cars using the latest in nanotechnology.

ZAP recently completed a purchase agreement to acquire $5.168 Million in lithium-polymer and nanotech batteries from Advance Battery Technologies for use in ZAP's line of XEBRA electric cars and trucks as well as other vehicles and battery systems. ZAP CEO Steve Schneider concluded the agreement recently after meeting with Advanced Battery Technologies Chairman Mr. Zhigou Fu and touring his facilities in Beijing and Harbin.

"After spending a great deal of time with Mr. Fu, we believe he is a true visionary with the desire to improve the environment through technology," said Schneider. "We are looking forward to testing these new batteries in our ZAP cars, trucks, motorbikes and other vehicles."

Advanced Battery Technologies is incorporating the latest in nanotechnology to create a new generation of lithium-polymer batteries with a higher energy density while improving the performance, life expectancy and safety. In a recent communication regarding ZAP's annual shareholder meeting, Mr. Fu praised ZAP's progress.

"These are indeed impressive and noteworthy results for ZAP's work," said Fu. "The Company is strong and growing in a world market with strong competition and capable competitors. The ability to deliver these products and achieve these results is a credit to your leadership, ZAP's management and the dedication and hard work of your employees."

Lithium ion batteries have been a leading technology for electric cars for years. While the technology has been proven in smaller formats, it was found to be less stable in larger formats. Because they are inert, nanoparticles do not sulfate in reaction with the chemistry of lithium-polymer batteries, unlike conventional graphite electrode materials. This innovation provides a more stable battery system, allowing larger format lithium batteries with a safer, more robust chemistry.

These smaller, nanoparticles also create a greater surface area -- up to 100 times greater -- allowing a faster, shorter-distance transmission of electrons in and out of the battery, adding to the energy density while increasing the charge and discharge rate for improved performance. The more stable battery chemistry also adds to the life expectancy of the battery, with an estimated cycle life of more than 1000 charges, more than double that of conventional batteries.

What this means for electric cars is three to five times greater performance in terms of range and speed, as well as faster charge times, in some cases as little as ten minutes.